Everything small business owners need to know

Content provided by a guest contributor.

Owning and running a small business is an impressive feat. For some, however, reaching this point can be difficult and confusing. You might not be sure of your business concept or you might still be figuring out how to manage your finances. But, if you follow some simple tricks and tips, you will become the success you have always dreamed of.

If you are feeling swamped, you can look for a business outsourcing solution to help lighten your load. Outsourcing is a fantastic resource for small business owners, allowing you to focus on the more important aspects of being your own boss. Below is even more advice on everything small business owners need to know.

Cash management is king

Managing your cash is one of the most vital things that a small business owner can do. Good planning and organisational skills are crucial in order to manage your cash and you can also invest in a sound outsourcing solution to help with financial issues.

In order to manage your cash, you will need to consider every aspect of your business. For example, if you need to buy inventory, you will need to ensure that you are making enough revenue to continue to do so. You will also need to keep a careful eye on any payments made by clients including how long it takes for clients to pay you. Small business owners need to understand their cash flow, expenses and expenditures.

Who do you hire?

Many small businesses start out as a “one-man-band” so to speak, but most of them grow larger during the first year. This means that you will need to consider who to hire for the new roles developing in your company. To do this, you need to look at your company goals in terms of culture and future reach.

If you are on a tight budget, outsourcing roles such as data capturing and collecting documents is a good idea. You will still have reliable staff but will be paying less in terms of salary and training. You will also not be compromising on quality. For in-office staff, be sure to look for people who will fit your company culture, work hard and give their all. As a small business, you cannot afford to hire someone who will not work as hard as you do, as this could cause issues with meeting deadlines and reaching goals.

Social media marketing is the new black

In the past, small businesses relied on word of mouth and traditional marketing to reach consumers. But times have changed, and with them, the methods of reaching your audience. Social media marketing is on the rise and you need to take notice.

There are many social media platforms available, but the most popular ones among consumers are Facebook, Twitter and Instagram. You can create a page for your business on each and link the three so that your content reaches a much wider audience. The younger generation of consumers all use social media on a daily basis, which makes it the perfect tool for small businesses to utilise to reach a new market. It is also a cost-effective medium for tight budgets.

Don’t forget about data

In today’s digitally-focused world, data is vital to the functioning of any business, big or small. You will use it to make important business decisions, such as using your sales figures to focus on new products or consumer data to focus on your marketing strategy.

Gathering this data, however, can be tedious which is where outsourcing will come in handy. An outsourcing company will spend their time collecting documents with a simple outsourcing process so that you can focus on the information rather than the collection. It is important to track key performance indicators (KPIs) for your business so that you can understand why they fluctuate. This will help you to make accurate and beneficial business decisions so your business will flourish.

Get to know your competitors

In the world of small business, you will have many competitors. And you might think that the only action to take is to try and be better than them. But this is the wrong kind of thinking. In order to succeed, you need to get to know your competitors before you can start to beat them.

For example, if you sell handmade pet toys and bedding, you need to look at what larger retail stores are doing in terms of pricing as well as other small businesses in your industry. This will allow you to make adjustments accordingly to your own marketing and pricing. It is also important to get to know your indirect competitors. You might offer family activities as well as products, which will put you into competition with other establishments. Get to know their pricing and offerings in order to improve your own.

 

The content in this article was provided by Rogerwilco – a South African marketing agency based in Cape Town.

rating: 
5
Average: 5 (1 vote)